The bill lets USMMA form a nonprofit to raise and spend private funds to enhance athletics with continued DOT oversight, trading increased private revenue and program support for narrower procurement rules, potential public‑asset use concerns, and less direct federal-employee accountability.
Students and the United States Merchant Marine Academy (USMMA) gain expanded athletic support because a nonprofit can raise and retain private funds (sponsorships, ticketing, licensing, NCAA-type revenue) to pay for equipment, travel, and facilities without relying on annual appropriations.
USMMA students and programs receive more direct programmatic support for athletics (equipment, travel, facilities) through the nonprofit’s ability to raise and spend funds, improving student athletic opportunities and campus programs.
Federal oversight is preserved because Department of Transportation employees can serve in unpaid oversight roles on the nonprofit board, maintaining a layer of accountability and subject-matter expertise.
Taxpayers and the public may face reduced transparency and competition because the nonprofit structure allows sole‑source contracts and exceptions to some procurement and funds-transfer rules for athletics support.
Students and the public could see weaker accountability and fewer employee protections because corporation staff are not federal employees, potentially limiting oversight, benefits, and recourse when staff provide services to students.
Taxpayers and students may face perceived conflicts of interest or use of public assets for a special program because the bill permits leasing USMMA property to the corporation and transferring DOT non‑appropriated assets.
Based on analysis of 2 sections of legislative text.
Allows the Secretary of Transportation to form a federally owned nonprofit and use contracts, leases, and support services to back USMMA athletic programs.
Introduced November 20, 2025 by Roger F. Wicker · Last progress November 20, 2025
Authorizes the Secretary of Transportation to create a federally owned nonprofit corporation under New York law to support the athletic programs of the United States Merchant Marine Academy (USMMA). The corporation must operate as a charitable 501(c)(3) entity; the Secretary would hold the ownership interest and vote on its behalf, appoint a board of unpaid directors (DOT employees may serve but no more than one-third), and enter contracts, cooperative agreements, leases, and transfers to support USMMA athletics. Grants procurement and property flexibilities to enable support for athletics: the Secretary may enter certain sole‑source contracts notwithstanding one procurement statute (while remaining subject to another), use cooperative agreements to acquire property or services for the Academy notwithstanding a chapter of title 31, rent or lease Academy real property for up to five years (with proceeds retained and used as specified), and provide specified support services (utilities, furnishings/equipment, communications, records, audio/video, security systems, etc.).